Filing Flows › ExlService Holdings (EXLS) › Q3 2026
ExlService Holdings (EXLS) Q3 2026 earnings results (third quarter 2026)
10-Q filed Oct 27, 2026
ExlService Holdings (EXLS) reported revenue of $634M for the third quarter 2026 (Q3 2026), +20% from a year earlier and +7% from the quarter before. Operating margin was 14.0%, net earnings $68.8M (10.8% of revenue).
ExlService Holdings, Q3 2026: revenue $634M (+20% year over year), operating margin 14.0%, net earnings $68.8M, operating cash flow $119M. The chart follows the revenue to costs, profit and cash.
| Q3 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $634M | +7% | +20% |
| Gross profit | $241M | +7% | +18% |
| Operating profit | $88.9M | +2% | +17% |
| Net earnings | $68.8M | +7% | +18% |
| Operating cash flow | $119M | +36% | -1% |
| Free cash flow | $103M | +40% | -4% |
What changed
Revenue was $634.0M in Q3 2026, up 20% year over year and up 7% from the previous quarter. Insurance was the largest line at 39% of revenue. Banking, Capital Markets and Diversified Industries added $43.7M year over year (up 24%), 42% of the total change.
Gross margin was 38.0%, down 0.5 points from Q3 2025. Operating profit was $88.9M, a 14.0% margin (down 0.4 points year over year). Of the extra revenue versus Q3 2025, 12% reached operating profit, below the 14% margin then. Operating expenses grew 19% against revenue growth of 20%. The fastest-growing cost line was Other operating costs (+25%). Net earnings were $68.8M, up 18% year over year. The effective tax rate was 20.7%.
Operating cash flow was $119.2M (down 1% year over year), 173% of net earnings. Non-cash charges added back $18.7M of depreciation and amortization and $25.5M of share-based compensation. Working capital and other items added $6.2M. Capital expenditures of $16.7M left free cash flow of $102.5M.
Questions
What was ExlService Holdings' revenue in the third quarter 2026?
ExlService Holdings (EXLS) reported revenue of $634M for the third quarter 2026 (Q3 2026), +20% from a year earlier and +7% from the quarter before.
Was ExlService Holdings profitable in the third quarter 2026?
Operating profit was $88.9M (14.0% of revenue) and net earnings $68.8M.